McGrady gains connections on Chinese trade trip

Published: Monday, November 11, 2013 at 1:00 a.m.

Last Modified: Sunday, November 10, 2013 at 4:47 p.m.

An ancient Chinese proverb says, “If one does not plow, there will be no harvest.”

Last month, N.C. Rep. Chuck McGrady, R-Henderson, and eight other state legislators took that advice to heart and traveled to China in hopes of laying the groundwork for Chinese investment in North Carolina and the marketing of N.C. products to that nation’s 1.3 billion consumers.

McGrady was the House’s senior member on the trip, which was organized by the University of North Carolina’s Center of International Understanding and state commerce officials to help open doors within China’s rapidly expanding pharmaceutical and medical device sectors.

The delegation of six state senators and three state representatives — one from the coast, Piedmont and mountains — met with Chinese businessman and government officials in Shanghai, Nanjing and Beijing to discuss economic development opportunities and health care.

“My eyes have certainly been opened to some opportunities and I think I can be helpful with connecting up businesses in Western North Carolina with the Department of Commerce, which is very interested in helping North Carolina businesses market their products to China, and in bringing Chinese investment here,” McGrady said.

One local industry that came up in McGrady’s briefings with state commerce officials was Gaia Herbs, a certified organic grower and manufacturer of liquid herbal extracts based in Brevard. The use of medicinal herbs in China remains “huge,” he said, offering industries such as Gaia potential export opportunities.

For McGrady, the trip also reinforced the important link between education and economic development. While the Chinese people he met with didn’t know much about individual U.S. states, McGrady said their knowledge of North Carolina’s colleges and universities was impressive.

“I was surprised how many of them were even cognizant of the competition between UNC and Duke,” he said. “Many of the people in the pharma and medical device areas (of China) have very clear ties to educational institutions here. Clearly, those connections are an important way of gaining entry to the Chinese market.”

While his 117th District doesn’t boast any major research universities, McGrady said his trip underscored the critical role that workforce development plays in economic development, both domestically and globally. He cited Blue Ridge Community College as an important component in local business recruitment.

“Whether it’s Sierra Nevada or German auto parts, part of the reason they ultimately decided to come to Henderson County had to do with the education piece,” McGrady said. “When you talk to the Chinese about our community college system and its role in workforce development, they get it. Those are significant assets and you’ve got to invest in assets.”

Those investments will likely extend to North Carolina’s K-12 public schools, McGrady said, predicting that the legislature will fund pay raises for teachers and other state employees during its short session next spring.

McGrady said that during debate on this year’s budget bill, Rep. Nelson Dollar, R-Wake, anticipated roughly $100 million would be available for pay raises “assuming Medicaid doesn’t blow a gasket again. I hope that’s where we’ll be and I’ve had no indication that anything has changed.”

The Tarheel tour group, which included leaders of several biotech companies, also visited a hospital in Shanghai during their trip. McGrady said its lobby was filled with kiosks similar to bank ATMs, with a line of patients stretched out the door.

“Hopefully, this isn’t the face of our future, but it was fascinating to see the health care system in China,” he said.

<p>An ancient Chinese proverb says, “If one does not plow, there will be no harvest.” </p><p>Last month, N.C. Rep. Chuck McGrady, R-Henderson, and eight other state legislators took that advice to heart and traveled to China in hopes of laying the groundwork for Chinese investment in North Carolina and the marketing of N.C. products to that nation's 1.3 billion consumers.</p><p>McGrady was the House's senior member on the trip, which was organized by the University of North Carolina's Center of International Understanding and state commerce officials to help open doors within China's rapidly expanding pharmaceutical and medical device sectors.</p><p>The delegation of six state senators and three state representatives — one from the coast, Piedmont and mountains — met with Chinese businessman and government officials in Shanghai, Nanjing and Beijing to discuss economic development opportunities and health care.</p><p>“My eyes have certainly been opened to some opportunities and I think I can be helpful with connecting up businesses in Western North Carolina with the Department of Commerce, which is very interested in helping North Carolina businesses market their products to China, and in bringing Chinese investment here,” McGrady said.</p><p>One local industry that came up in McGrady's briefings with state commerce officials was Gaia Herbs, a certified organic grower and manufacturer of liquid herbal extracts based in Brevard. The use of medicinal herbs in China remains “huge,” he said, offering industries such as Gaia potential export opportunities.</p><p>For McGrady, the trip also reinforced the important link between education and economic development. While the Chinese people he met with didn't know much about individual U.S. states, McGrady said their knowledge of North Carolina's colleges and universities was impressive.</p><p>“I was surprised how many of them were even cognizant of the competition between UNC and Duke,” he said. “Many of the people in the pharma and medical device areas (of China) have very clear ties to educational institutions here. Clearly, those connections are an important way of gaining entry to the Chinese market.”</p><p>While his 117th District doesn't boast any major research universities, McGrady said his trip underscored the critical role that workforce development plays in economic development, both domestically and globally. He cited Blue Ridge Community College as an important component in local business recruitment.</p><p>“Whether it's Sierra Nevada or German auto parts, part of the reason they ultimately decided to come to Henderson County had to do with the education piece,” McGrady said. “When you talk to the Chinese about our community college system and its role in workforce development, they get it. Those are significant assets and you've got to invest in assets.”</p><p>Those investments will likely extend to North Carolina's K-12 public schools, McGrady said, predicting that the legislature will fund pay raises for teachers and other state employees during its short session next spring.</p><p>McGrady said that during debate on this year's budget bill, Rep. Nelson Dollar, R-Wake, anticipated roughly $100 million would be available for pay raises “assuming Medicaid doesn't blow a gasket again. I hope that's where we'll be and I've had no indication that anything has changed.”</p><p>The Tarheel tour group, which included leaders of several biotech companies, also visited a hospital in Shanghai during their trip. McGrady said its lobby was filled with kiosks similar to bank ATMs, with a line of patients stretched out the door.</p><p>“Hopefully, this isn't the face of our future, but it was fascinating to see the health care system in China,” he said.</p><p>Reach Axtell at 828-694-7860 or than.axtell@blueridgenow.com.</p>